S&P 500 2,441.20 17.28
Gold$1,224.80 $5.30
Nasdaq 6,253.81 61.92
Crude Oil $60,490.00      $-1570.00
Market Update

Activision to Buy King Digital for $5.9 B, October U.S. Auto Sales Jump


Author: Mukesh Buch
ticker.com
Last Update: 12:32 PM ET November 03 2015

12:25 PM New York – Activision Blizzard agreed to acquire King Digital for $5.9 billion and net swung to profit. Archer Daniels net tumbled 66%. Chrysler October sales soared 15%. Ford sales Jumped 13% while GM sales surged 16%. HCP net plunged 54%. Kellogg profit dropped. McGraw Hill Financial net surged 33%.

Tollbooth Index increased 31.61 to 11,062.54.

Earnings Review

Activision Blizzard, Inc (ATVI) jumped 2.5% or 86 cents to $35.43 after the online, computer video game maker agreed to acquire the maker of popular game “Candy Crush Saga” and other games from King Digital Entertainment plc for $18 per share in cash or about $5.9 billion.

The transaction is expected to close by March 2016.

Separately, the company reported revenues in the third-quarter ending in September jumped 31.5% from a year ago to $990 million.

Net in the quarter swung to profit $127 million or 17 cents per diluted share compared to a loss of $23 million or 3 cents per share from the same quarter last year.

Archer Daniels Midland Company (ADM) plunged 8.4% or $3.90 to $42.38 after the food processor said revenues in the third-quarter ending in September declined 8.5% from a year ago to $16.57 billion.

Net income in the quarter tumbled 66.3% to $252 million or 41 cents per diluted share compared to $747 million or $1.14 per share from the same quarter last year.

Fiat Chrysler Automobiles NV (FCAU) slipped 1.8% or 27 cents to $14.62 after the auto maker said U.S. auto sales in October soared 15% to 195,545 vehicles from 170,480 vehicles in a year ago month.

Truck sales in the month surged 20% to 157,408 units but passenger car sales dropped 3% to 38,137 units while Ram pickup sales rose 3% to 40,931 units.

Ford Motor Company (F) rose 4 cents to $14.79 after the passenger cars and trucks maker reported U.S. totaled October sales jumped 13% to 213,938 vehicles, best October sales performance since 2004. Total trucks sales soared 13.8% to 85,607 vehicles.

Utilities vehicle sales in the month increased 10.8% to 66,407 units.

Retail sales in the month surged 13% to 154,036 vehicles and Ford-brand SUVs advanced 12% to 60,786 vehicles. Mustang sales jumped 121% to 10,096 vehicles while Fusion posted its best-ever October sales with 23,668 units. F-Series sales rose 3.3% to 65,500 trucks.

General Motors Company (GM) fell 8 cents to $35.47 after the automobile maker reported October total vehicle sales surged 15.9% to 262,993 units and retail sales jumped 16% to 203,166 units.

GM’s average transaction prices dropped $130 to $34,600 from a year ago month but for the year increased $800. Incentive spending rose 0.9 percentage points to 12.7% of the average price from September.

HCP, Inc (HCP) slipped 1.4% or 51 cents to $37.17 after the real estate developer said revenues in the third-quarter ending in September soared 10.3% from a year ago to $657.95 million.

Net income in the quarter plunged 53.5% to $115 million or 25 cents per diluted share compared to $247.2 million or 54 cents per share from the same quarter last year.

Hyatt Hotels Corporation (H) decreased 1.2% or 61 cents to $49.87 after the hotels and resorts operator stated revenues in the third-quarter ending in September dropped 4.5% from a year ago to $1.05 billion.

Net income in the quarter plummeted 21.9% to $25 million or 18 cents per diluted share compared to $32 million or 21 cents per share from the same quarter last year.

Kellogg Company (K) slumped 4.3% or $3.03 to $67.58 after the ready-to-eat cereal and convenience foods maker reported net sales in the third-quarter ending on October 3plunged 8.5% from a year ago to $3.33 billion.

Net income in the quarter dropped 8.4% to $205 million or 58 cents per diluted share compared to $224 million or 62 cents per share from the same quarter last year.

McGraw Hill Financial Inc (MHFI) soared 4.1% or $3.80 to $95.95 after the professional information provider stated revenues in the third-quarter ending in September advanced 5% from a year ago to $1.32 billion.

Net income in the quarter surged 33% to $252 million or 92 cents per diluted share compared to $190 million or 68 cents per share from the same quarter last year.

Sempra Energy (SRE) gained 1.7% or $1.83 to $104.22 after the gas and electricity supplier said revenues in the third-quarter ending in September declined 12.1% from a year ago to $2.48 billion.

Net income in the quarter slumped 28.7% to $248 million or 99 cents per diluted share compared to $348 million or $1.39 per share from the same quarter last year.

  1
Sources: Data collected by 123jump.com and Ticker.com from company press releases, filings and corporate websites. Market data: BATS Exchange. Inc